A Study on the Solvency of China's Non-life Insurance Companies

Insurance companies operating in providing security, risk and loss sharing as the main feature, the uncertainty and the use of insurance funds limited their future cash flows and other factors, operating with a public and high risk and other characteristics, the second generation of payment ability to reform the regulatory system, although closely follow the international pace of reform but because China's insurance market could not improve their own development, there is still not fit. The mode of operation of non-life insurance company's extensive insurance technical level is relatively backward, many causes of underdevelopment of capital markets, but also the problem of solvency shortfalls are increasingly exposed. Firstly, in terms of the number of the body, premium income scale and market concentration and other non-life insurance market, the status of non-life insurance market is analyzed; the use of data on China Insurance Yearbook of small and medium non-life insurance company's solvency were analyzed. Analysis process, according to the rules of recognized solvency compilation of various insurance companies assets, liabilities and recognition of the minimum capital requirements for a quantitative calculation of the final results of the solvency of the insurers charge rates. Then the grey relational analysis model and EXCEL statistical analysis software internal non-life insurance company solvency microscopic factors analyzed quantitatively.